- Minerals explorer 3D Resources (DDD) has provided another update on its Adelong Gold Project, as it finalises its strategic review of the asset
- The company is targeting near term production at the gold project in order to take advantage of the sky-high gold price
- 3D has confirmed it will push ahead with a low-cost recovery process by installing a two-stage grinding circuit with a new rod mill
- These changes will increase the milled ore delivery from 6.0t/ph to 35t/hr and should also assist in the project’s overall waste recovery strategy
- Additionally, the company advises that the processing of mullock will be completed on-site at Adelong
- Shares in 3D Resources are currently trading up 12.5 per cent at 0.5 cents each
3D Resources (DDD) has provided another update on its Adelong Gold Project, as it moves closer to finalising its strategic review of the asset.
Asset explained
The minerals exploration company first acquired Adelong, which is located in southern New South Wales, at the start of the year.
Since then, it has carried a myriad of exploration work as well as a review examining the options for developing the mine and processing plant
3D Managing Director Peter Mitchell said the company is targeting near term production in order to take advantage of the sky-high gold price.
“We continue to approach the Adelong Gold Project as a near term commercial opportunity to take advantage of the prevailing gold price and the current status as a mine that has been approved for development and production,” he said.
“In assessing the Company’s plans, it is important to recognise that the current resources could potentially provide a 15-year life of operations at the approved mining rate,” he added.
Outlook
The materials stock advises it will push ahead with a low-cost recovery process by installing a two-stage grinding circuit with a new rod mill.
Importantly, these changes are expected to increase the milled ore delivery from 6.0t/ph to 35t/hr, with a third stage crusher also being considered as well.
3D states it expects the adoption of a coarser grind to also assist in waste disposal, as the majority of the waste will take the form of sand.
This will remove the need for a tailings dam as well as potentially allowing the material to be sold on as a building product.
Additionally, the company advises that the processing of mullock will be completed on-site at Adelong.
This is because the low-cost gravity process “transformed the potential economics” to a point that the company decided to push ahead.
Following today’s update on Adelong, shares in the company are trading up 12.5 per cent at 0.5 cents each at 2:07 pm AEDT.